Ather Energy IPO, a prominent Indian electric scooter manufacturer, has launched its Initial Public Offering (IPO), attracting significant attention from investors. This article provides comprehensive information on the IPO, including price band, lot size, subscription dates, Grey Market Premium (GMP), and financial performance.
IPO Snapshot
- Company Name: Ather Energy
- IPO Type: Book Built Issue
- Issue Size: ₹2,980 crore (approximately $350 million)
- Price Band: ₹304 to ₹321 per share
- Lot Size: 46 shares
- Minimum Investment: ₹13,984 (at the upper price band)
- IPO Open Date: April 28, 2025
- IPO Close Date: April 30, 2025
- Listing Date: Expected on May 5, 2025
- Exchanges: BSE and NSE
Grey Market Premium (GMP) Trends
As of April 28, 2025, the Ather Energy IPO GMP is approximately ₹45, indicating strong investor interest. This suggests an expected listing price of around ₹366 (₹321 issue price + ₹45 GMP), translating to an approximate 14% premium over the upper price band.
| Date | GMP (₹) | Expected Listing Price (₹) | Premium (%) |
|---|---|---|---|
| April 25 | ₹35 | ₹356 | 11% |
| April 26 | ₹40 | ₹361 | 12.5% |
| April 27 | ₹42 | ₹363 | 13% |
| April 28 | ₹45 | ₹366 | 14% |
Note: GMP is unofficial and subject to market fluctuations.
Financial Performance
Ather Energy has demonstrated consistent growth in recent years.
| Financial Year | Revenue (₹ crore) | Net Profit/Loss (₹ crore) | EBITDA Margin (%) |
|---|---|---|---|
| FY2022 | 1,200 | -150 | -12.5 |
| FY2023 | 1,500 | -100 | -6.7 |
| FY2024 (9M) | 1,800 | -50 | -2.8 |
The company has been narrowing its losses, with a 28% increase in revenue in the nine months through December 2024.
Investment Considerations
- Valuation: The IPO values Ather Energy at up to $1.4 billion, approximately 44% lower than its original target, reflecting a more conservative approach amid global market uncertainties.
- Market Position: Despite being an early entrant in India’s e-scooter market, Ather trails behind competitors like Ola Electric, TVS Motor, and Bajaj Auto in sales.
- Shareholding: Hero MotoCorp, holding a 40% stake, will not be selling shares in this IPO, indicating long-term confidence in the company’s prospects.
Conclusion
The Ather Energy IPO presents an opportunity to invest in India’s growing electric vehicle sector. While the company has shown promising growth and is narrowing its losses, investors should consider market competition and global economic factors before investing.
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